Agenda item

AGREED 1. Recommendations and that officers across the Council be thanked for their work on the budget

2. To note the comments of the Policy and Performance Scrutiny Committee (18.1.24) on the budget proposals

Reasons for the decision – as detailed in the report

Other options considered – as detailed in the report

Conflicts of interest / dispensations granted – none

RESOLVED:

The General Fund Budget 2024/25 and Medium Term Financial Strategy (MTFS)

1 (1) To agree and recommend to Council the latest assumed MTFS and 2024/25 budget, including the underlying MTFS principles, latest in-year monitoring position and the budget assumptions, as detailed in the report of the Executive Member for Finance, Planning and Performance.

(2) To agree and recommend to Council the proposed 2024/25 net budgets by directorate, as detailed in the report.

(3) To agree and recommend to Council the 2024/25 savings detailed in the report, noting that individual savings might be subject to individual consultation before they could be implemented.

(4) To note the funding assumptions following the announcement of the Provisional Local Government Settlement on 18 December 2023.

(5) To note that the fees and charges policy and the General Fund fees and charges from 1 January 2024 were as agreed by Executive on 30 November 2023.

(6) To agree an amendment to the fees and charges schedule in respect of the previously agreed Green Waste Charge, approved by the Executive on 11 January 2024, to include a concessionary rate at 50% for residents in receipt of Council Tax Support.

(7) To agree to amend the fees and charges schedule in respect of GLL activities and memberships, as detailed in paragraph 3.63 of the report.

(8) To agree and recommend to Council that the Section 151 Officer be delegated responsibility for any technical adjustments required for the 2024/25 budget (in line with the Council’s Financial Regulations).

(9) To agree and recommend to Council that centrally held demographic growth be allocated to service budgets in-year once a more evidenced assessment was available and had been approved by the Section 151 Officer.

Reserves and Balance Sheet Strategy and CIPFA Financial Management Code Assessment

(10) To agree and recommend to Council the Reserves and Balance Sheet Strategy, including proposed minimum reserves levels, and agree the movements to/from earmarked reserves assumed as part of the 2024/25 revenue budget, as detailed in the report.

(11) To note the assessment of compliance against the CIPFA Financial Management Code and that this would be re-visited annually as part of the budget process, with any actions or recommendations implemented on an ongoing basis.

(12) To note the balance sheet analysis, which provided a snapshot of the Council’s financial position detailing assets, liabilities and reserves, and aided understanding of the underlying financial position of the Council.

The Housing Revenue Account (HRA) Budget and Medium Term Financial Strategy (MTFS)

(13) To agree and recommend to Council the balanced HRA 2024/25 budget and note the latest estimates over the 3-year MTFS period.

(14) To agree the HRA rents and other HRA fees and charges for 2024/25, as detailed in the report.

(15) To agree and recommend to Council the 2024/25 savings and note that individual savings might be subject to individual consultation before they could be implemented.

(16) To agree and recommend to Council the updated HRA 30-year business plan.

Capital Investment and Treasury and Investment Management

(17) To agree and recommend to Council the proposed 2024/25 to 2026/27 capital programme and latest indicative capital programme for 2027/28 to 2033/34, noting the changes since the previous version.

(18) To agree and recommend to Council the funding of the 2024/25 to 2033/34 capital programme and to delegate authority to the Section 151 Officer, where necessary, to apply capital resources to fund the capital programme in the most cost-effective way for the Council.

(19) To agree and recommend to Council the Capital Strategy, Minimum Revenue Provision Policy Statement, Treasury Management Strategy, Investment Strategy and Flexible Use of Capital Receipts Strategy

(20) To agree and recommend to Council the Flexible Use of Capital Receipts Strategy for 2024/25, detailed in Appendix F6 of the report, up to a maximum of £20m, whilst noting that approving the Strategy does not commit the Council to using it.

(21) To approve and recommend to Council that responsibility for the adoption of the Flexible Use of Capital Receipts Strategy be delegated to the Section 151 Officer, if it was considered appropriate to do so at the end of the financial year, in the context of the Council’s overall financial position.

(22) To note that inclusion of a scheme in the capital programme did not in itself necessarily grant permission to commit expenditure against the approved capital budget. This remained subject to any additional approval requirements of the Council’s Constitution, Financial Regulations and Procurement Rules.

(23) That the Section 151 Officer be authorised to incorporate any further changes to capital grants in the capital programme in the final version of the budget report to Council.

(24) That the Section 151 Officer be authorised to approve the business case to accept grant funding offers for decarbonisation requiring match funding. If grant funding offers were not received or accepted, the budget would be subject to review as part of the quarterly updates to the Executive.

Council Tax and Retained Business Rates

(25) To agree and recommend to Council the calculations required for the determination of the 2024/25 council tax requirement and the level of council tax as detailed in Section 8 of the report and summarised below:

· The 2024/25 council tax requirement of £118,220,685.65

· The relevant basic amount of Islington Band D council tax of £1,449.41, a 4.99% increase compared to 2023/24 (comprising 2% specifically for expenditure on adult social care and 2.99% for all expenditure), and that this is not ‘excessive’ in accordance with the council tax referendum principles for 2024/25.

 · The basic amount of Islington Band D council tax for dwellings to which no special item relates (i.e. outside of the Lloyd Square Garden Committee area) of £1,449.13.

 · The amount of 2024/25 council tax (excluding the GLA precept) for each valuation band over each of the council’s areas.  

· The total amount of 2024/25 council tax (including the GLA precept) for each valuation band over each of the Council’s areas

(26) To note the Council’s estimated retained business rates funding in 2024/25, as per the 2023/24 NNDR1 return estimate.  

(27) To note the council’s forecast NNDR surplus/(deficit) for 2023/24

Matters for consideration in setting the Budget

(28) That the following be noted:

- The need to have regard to the Section 151 Officer’s report on the robustness of the estimates included in the budget and the adequacy of the proposed financial reserves when making decisions about the budget and the level of council tax, as required under Section 25(2) of the Local Government Act 2003.

- The Monitoring Officer comments.

- The Equality Impact Assessment and the need to take it fully into account in approving the overall budget and related proposals.

- That the Council note the summary of responses received from residents and business rate payers (or representatives of business rate payers) in Islington in response to the invitation comment on the draft 2024/25 budget proposals in the report, as required under Section 65 of the Local Government Finance Act 1992.

(29) To agree and recommend to Council the Retail Relief Scheme for 2024/25

(30) To agree and recommend to Council the Annual Pay Policy Statement for 2024/25,

2. That officers across the Council be thanked for their work on the budget

3. To note the comments of the Policy and Performance Scrutiny Committee (18.1.24) on the budget proposals

Reasons for the decision – to agree draft proposals in respect of the Council’s 2023/24 budget and level of council tax and the latest assumed medium term financial position, for approval by Council as appropriate

Other options considered – all as detailed in the report of the Executive Member for Finance, Planning and Performance

Conflicts of interest / dispensations granted – none